"Following the bond markets price action today I am still very puzzled why so many still feel that the Fed is about to tighten, he told CNBC. "Maybe they are looking at a different set of data, but to me, as long as the economic indicators remain this choppy, and inflation is around the 2.00 percent level, I can't see the Fed moving sooner than the end of next year."

"In addition to the numbers, the geopolitical risk that tends to capture the bond markets' attention only increases the chance that as long as the risk off trade is favorable to Treasuries, the Fed tightening sooner seems like a frivolous prediction," Giddis said.

Less predictable and of great import to markets will be fresh economic forecasts from the policymakers, which could show officials see faster progress toward the Fed's goals of full employment and 2 percent inflation than they saw in March, the last time official forecasts were published.

Also highly anticipated is the publication of a matrix of dots representing when each of the Fed's policymakers expect rates to begin to rise, and how quickly. Fed Chair Janet Yellen will hold a quarterly press conference, and any comments about slack in the economy or the likely path of rate hikes will be closely parsed by investors.

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The five- and seven-year tenors sold off as well. U.S. five-year notes saw flat prices with yields at 1.686 percent, down from 1.700 earlier in the day, while seven-year notes declined 2/32 in price to yield 2.203 percent.

Jeff Rosenberg, chief investment strategist for fixed income at Blackrock, told CNBC before the market close for the week that the "year-end target for the 10-year is 3 to 3.25 percent."